An Accountant Has Been Asked to Issue a Review Report

question 478

Multiple Choice

An accountant has been asked to issue a review report on the balance sheet of a nonissuer without reporting on the related statements of income, retained earnings, and cash flows. The accountant may issue the requested review report only if:

• A) The balance sheet is not to be used to obtain credit or distributed to the entity's creditors.
• B) The balance sheet is part of a comprehensive personal financial plan developed to assist the entity.
• C) There have been no material changes during the year in the entity's accounting principles.
• D) The scope of the accountant's inquiry and analytical procedures has not been restricted.

---

Definitions:

Abuse

Abuse involves harmful or injurious treatment of another person or entity, often encompassing physical, emotional, or sexual harm.

Custody

The protective care or guardianship of someone or something, often used to describe the legal guardianship of a child or the holding of an individual by law enforcement.

Vancomycin

An antibiotic used to treat serious bacterial infections, especially those resistant to other antibiotics.

Amputation Stump

The remaining portion of a limb or appendage after a surgical amputation has been performed.